The Sale of Rare Earth Minerals in China - Essay Example

The process of producing them has severe implications on the environment besides risking the lives of the employees who work in such plants.

The two minerals are important and lucrative products in the modern economy owing to their significance in the manufacture of smartphones and their accessories. The sale of rare earth minerals is a profitable venture with China enjoying a lion’s share of the global market. However, the companies engage in some unethical operations as they strive to influence the prices of the minerals.

Most companies induce shortages of minerals by stopping production. The resulting shortage causes the prices of the minerals to soar thereby safeguarding the profitability of the companies that process the minerals. The large multinational corporations that operate in the processing and sale of minerals often collude to influence the supply of the market. As the demand grows, they resume production with the minerals enjoying higher prices. Besides engaging in price manipulation games, the companies engage in unfair labor relations with their employees as they expose their employees to a dangerous working environment as their interact with hazardous chemicals and toxic wastes.